This paper is a study of optimal experiment design applied to the measure of thermal properties in functionally graded materials. As a first step, a material with linearly-varying thermal properties is analyzed, and several different tran- sient experimental designs are discussed. An optimality criterion, based on sen- sitivity coefficients, is used to identify the best experimental design. Simulated experimental results are analyzed to verify that the identified best experiment design has the smallest errors in the estimated parameters. This procedure is general and can be applied to design of experiments for a variety of materials.